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3 years ago

Companies and their auditors have adopted a general rule of thumb that anything under 5% of _______ is considered not material.

Business

1 answer:

nata0808 [166]3 years ago

3 0

Answer:

The answer is net income

Explanation:

Net income is the difference the total revenue generated and the total cost(cost of sales, salaries, electricity etc.)

Materiality: A financial statement is said to material is when its misstatement or omission affects the opinion of its intended users.

Companies and auditors have agreed that anything under 5% of net income is considered not material, meaning any misstatement less than 5% of the net income is not considered to be important to alter the view of the users. In this kind of situation, auditors' opinion on the financial statement will be true and fair.

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The spheres of security are the foundation of the security framework and illustrate how information is under attack from a varie

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The answer in the space provided is people. It is because there are only little focus on the people side of organization because they had only provided only few protection in regards with the people in terms of their attackers and information.

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3 years ago

A 9-year annuity of 18 $10,400 semiannual payments will begin 11 years from now, with the first payment coming 11.5 years from n

hichkok12 [17]

The value of the annuity in 9 years is $204,112.77

The value of the annuity in 7 years is $174,993.80

The present value is $102,107.20

An annuity can be described as a cash flow at regular periods. Here, this annuity provides cash flows semi-annually.

The present value of the annuity has to be determined first.

Present value is the value of an annuity at time zero. It is calculated by discounting cash flows with the discount rate.

Present value would be determined with the aid of a Present Value of an Ordinary Annuity Table. Please find attached an image of the table.

Annuity information

payments = $10,400
years of payments = 9
Number of payments = 18
Start date = year 11.5
End date = year 20

How to use the table : the present value of annuity factor is found at where 20 (end date of the annuity) and 8% (discount rate) meet. This is 9.818

Present value = the present value of annuity factor x semi-annual payment

$10,400 x 9.818 = $102,107.20

Value of the annuity in 9 years = $102,107.20 x (1.08)^9 = $204,112.77

Value of the annuity in 7 years = $102,107.20 x (1.08)^7 = $174,993.80

A similar question was solved here: brainly.com/question/13405140?referrer=searchResults

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3 years ago

A salesperson who calls phone numbers from a purchased list of new parents and asks, "Have you been considering the purchase of

SCORPION-xisa [38]

Answer: Prospecting stage

Explanation:

The prospecting stage is one of the first step in the personal selling process which basically used for identifying the efficient consumers and also developed the customer database in the system for the purpose of communication.

The prospecting stage is basically refers to the database, social contacts, various types of trading show that are used for locating the potential consumers according to the requirement.

Therefore, Prospecting stage is the correct answer.

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3 years ago

Capitalizing costs that should be expensed: a. is a practice mostly found in large, well-established companies. b. is a healthy

EleoNora [17]

Answer:

Option D. Has the effect of increasing net income by the same amount of the capitalized costs.

Explanation:

The reason is that the capitalized costs are the invesments in any assets whose useful life is more than one year and must be depreciated over useful life of the assets. If a expense nature cost is capitalized which must not be capitalized according to IAS 16 Porperty, Plant & Equipment then the expenses are understated which means that the profits are overstated. This means that presenting expenses as assets will increase the profits as costs will be fewer in amount presented in the financial statements.

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4 years ago

Cash-basis vs. accrual-basis accounting?

ki77a [65]

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4 years ago